Development Capital — Equity Financing

By GrantHub Research Team ·

For established Québec-based companies planning a major acquisition or looking to accelerate long-term growth, access to patient, strategic capital can be a deciding factor. Development Capital — Equity financing is designed for businesses pursuing significant expansion projects, including the acquisition of another company in Québec or internationally, while strengthening productivity and competitiveness at home. Delivered through Investissement Québec, this financing supports ambitious transactions that go beyond what traditional lending typically allows.

Rather than functioning like a standard loan, this program provides equity capital starting at roughly five million dollars, with Investissement Québec taking a minority ownership position in the business. This approach allows companies to preserve cash flow while securing a long-term partner aligned with growth objectives. Funding can support acquisitions, operational scaling, modernization initiatives, and other projects that position the business for sustained performance and increased market presence. The program is open to companies across a wide range of industries, provided they meet certain requirements and demonstrate strong growth potential.

This form of developmental capital is especially relevant for entrepreneurs, management teams, or investors leading complex transactions who value strategic support alongside financing. For Québec businesses considering a transformative acquisition or major expansion, learning more about how this equity financing works can help determine whether it fits your ownership, growth, and succession plans.

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